Wednesday, April 11, 2007

The AARP does not get it either

The AARP does not get it. They, as do most "public interest" organizations, fail to see the property tax as insidious and unjust. Therefore they assume it must continue and base any and all "solutions" on that. They fail to see that many of the income-based issues seniors face are a direct result of huge proportions of their limited incomes being sucked up by property taxes.

I have written them and been blown off. They dismiss out of hand those who do not tow their line. Below is a post I made in response to their page "Divided We Fail" http://www.aarp.org/issues/dividedwefail/ . The focus is on the strains that healthcare costs present to seniors.

What I point out is that they fail to see their is one thing that could remedy a huge number of their members' dilemma: Eliminate the property tax. Do so would free up hundreds of dollars each month for low income, cash-strapped homeowners. They would be enabled to afford supplemental health insurance and no longer have to do without or turn to others for charity. This, in turn, would reduce the base of people government would have to assist, thus reducing governent expenses and also allowing more cash to be spent in areas presently cash-starved.

It is too bad AARP, one of the nation's most influential organizations, refuses to see the light. One cannot help but wonder if they suffer from the same malady as politicians: They talk about those in need but are beholden to and act on behalf of their wealthier doaners. Or maybe due to isolation from the experience of those most in need they suffer from the Marie Antionette syndrome: No bread? Let them eat cake!

Following is my post. I wonder if they will clip it or allow it to display?

***********************

When is AARP NJ going to understand that if the property tax is eliminated, large numbers of the most vulnerable seniors--due to limited income--will then be enabled to afford supplemental healthcare insurance, along with many of the out of pocket expenses?

People who do not qualify to pay income tax are still paying $4,000, $6,000 and much more each year because property taxes are not based on one's income, their ability to pay, but just because one owns something. Free this money up and we will tremendously reduce how many people are not able to afford supplemental health insurance and/or associated medical care expenses.

The fact is there is an income component to the property tax, but the state and AARP refuse to acknowledge that is what makes it totally and completely unjust. State aid is assessed on ability to pay. Ability to pay is based on imputed wealth to those not wealthy just because they have wealthy neighbors. The property tax ought to be eliminated and replaced with the income tax.

The tacit admission by the state that ability to pay is the fundamental issue is revealed in that rebates are based on one's income. This means that income ought to be the basis of collecting taxes for schools, municipalities and the county, not merely because one owns a piece of property. Why have income as a qualifying factor if property taxes are regarded as fair and just as is?

Get with it AARP of NJ. Stop playing the game with self-serving state politicians and self-interest groups (can anybody say NJEA?) who need the present unjust system to continue in order to perpetuate the gravy train of unrestrained annual tax increases so they can continue to payoff their constituents (developers and public employee union members). Why don't you start acting on behalf of those your purport to represent? We are waiting.

Wednesday, April 04, 2007

Another sham tax reform

The fact that there is an income based component to this so-called rebate is a tacit admission that the Property Tax is inherently unfair. Low income property taxpayers subsidize wealthier ones to the tune of 3 times the rate. Until N.J. eliminates the property tax for all government services (county, municipal and schools) and rolls it into an income tax, there will never be spending reform. Income taxes will never be allowed to go up on an annual basis. The Legislature's hands will be tied. Today's Press editorial mentions the Legislature's "low regard for the intelligence and attention span of the voter" and how they are "counting on the gullibility of the electorate" when it comes to this Falls elections. I do not think the Press was saying our legislators are right, but the sad truth is they are. NJ voters repeated re-elect these same crooks time and again. I doubt they will be mistaken this year. Besides, voting out one party will not do anything. The wholesale change due to Florio's tax hikes did not generate any improvements when the Republicans ran the show. Whitman just began the trend of putting the state into hock. When the Dems took over, they followed her lead by doubling up this plunge to total fiscal chaos. Only a third party sweeping to power can afford any hope of real change. Nevertheless, if there is to be any hope of correcting the property tax it will only come through consolidating taxes into one tax to fund government services. That will make it crystal clear how much is being spend. It will eliminate the shell game of forcing a little county tax increase here, a little municipal tax increase there, a lot of education tax increase, with each entity pointing to Trenton as the cause but not really doing anything politically to change it. Until people get the idea of eliminating the property tax into their head, we are going to have a continuation of what is and has been: seniors driven into poverty and/or out of the state; lower income people unable to afforrd a home, and continued runaway spending by all levels of government.